DKSH Holding AG (DKSH) AI Stock Analysis

• Market Cap: CHF3.83B
• Dividend Yield: 4.14%
• Average Volume (3M): 92.63K
• Price to Earnings (P/E): 19.6
• Beta (1Y): 0.86
• Revenue Growth: 2.66%
• EPS Growth: 2.91%
• Country: CH
• Employees: 26,167
• Sector: Industrials
• Sector Strength: 72
• Industry: Consulting Services
• EPS (TTM): 1.41
• Shares Outstanding: 65,042,960
• 10 Day Avg. Volume: 85,614
• 30 Day Avg. Volume: 92,626
• PEG Ratio: 1.14
• Price to Book (P/B): 2.40
• Price to Sales (P/S): 0.39
• P/FCF Ratio: 13.61
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF75.00
• Price Target Upside: 27.12% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 70 Outperform
• Price Target: CHF61.00 ▲(3.39% Upside)

DKSH Holding AG's overall stock score is driven primarily by its strong financial performance, characterized by stable revenue growth and improved profit margins. The technical analysis suggests short-term bullish momentum, although longer-term resistance is present. The valuation is moderate, with an attractive dividend yield enhancing the stock's appeal.

Positive Factors

Revenue Growth

Consistent revenue growth indicates DKSH's ability to expand its market presence and adapt to changing market demands, supporting long-term business sustainability.

Margin Improvement

Improved gross profit margins suggest effective cost management and pricing strategies, enhancing profitability and competitive positioning over time.

Financial Stability

Reduced leverage and increased equity base strengthen DKSH's financial stability, providing a solid foundation for future growth and investment.

Negative Factors

Free Cash Flow Decline

A decline in free cash flow growth can limit DKSH's ability to reinvest in business expansion and innovation, potentially impacting long-term growth prospects.

Operational Challenges

Fluctuations in free cash flow may indicate operational inefficiencies or challenges in cash management, which could affect DKSH's ability to sustain growth.

Stock Performance

Trading below long-term moving averages suggests potential resistance and could indicate market concerns about DKSH's future performance, affecting investor confidence.

DKSH Holding AG Business Overview & Revenue Model

Company Description

DKSH Holding AG provides various market expansion services in Thailand, Greater China, Malaysia, Singapore, rest of the Asia Pacific, and internationally. The company offers sourcing, marketing, sales, distribution, and after-sales services. It operates through four segments: Healthcare, Consumer Goods, Performance Materials, and Technology. The Healthcare segment provides various services, such as registration, regulatory, market entry studies, importation, customs clearance, marketing and sales, physical distribution, invoicing, and cash collection services for ethical pharmaceuticals, consumer health, and over-the-counter health products, as well as medical devices. The Consumer Goods segment offers a range of services, including product feasibility studies, registration, importation, customs clearance, marketing and merchandising, sales, warehousing, physical distribution, invoicing, cash collection, and after-sales services for fast moving consumer goods, food services, luxury goods, and fashion and lifestyle products, as well as hair and skin cosmetics. The Performance Materials segment sources, markets, and distributes a range of specialty chemicals and ingredients for the pharmaceutical, personal care, food and beverage, and industrial applications, as well as provides market expansion services for performance materials. The Technology segment offers market expansion services comprising a range of capital investment goods and analytical instruments in the areas of infrastructure, industrial materials and supplies, precision and textile machinery, semiconductors, photovoltaic and electronics, agriculture, and hospitality, as well as specialized industrial applications. The company was founded in 1865 and is based in Zurich, Switzerland.

How the Company Makes Money

DKSH generates revenue through a diversified model primarily based on providing market expansion services to its clients. Key revenue streams include service fees for marketing and sales support, logistics and distribution services, and commissions from product sales. The company partners with a wide range of suppliers and brands, which allows it to leverage existing product lines and introduce new products to the market. Significant partnerships with major global brands in the consumer goods and healthcare sectors contribute to its earnings, as these collaborations enhance DKSH's portfolio and market presence. Additionally, the company benefits from economies of scale and operational efficiencies, which help improve profit margins across its various services.

DKSH Holding AG Financial Statement Overview

Summary

DKSH Holding AG demonstrates a strong financial position with stable revenue growth, improved profit margins, and efficient cash flow management. The company has managed to enhance equity and reduce leverage, contributing to financial stability. Despite minor fluctuations in free cash flow, the company maintains a healthy cash generation capability, indicating robust operational performance.

Income Statement

DKSH Holding AG shows a stable revenue base with a slight revenue growth from 2023 to 2024. The gross profit margin improved significantly due to higher gross profit, indicating better cost management or pricing strategy. Despite consistent revenue, net profit margin has increased, indicating improved operational efficiency. EBIT and EBITDA margins are stable, reflecting consistent operational performance.

Balance Sheet

The company's debt-to-equity ratio has decreased, signifying reduced leverage, which enhances financial stability. Stockholders' equity has increased, indicating a stronger equity base. Return on Equity (ROE) is improving, showing better profitability on equity. The equity ratio remains solid, further supporting the company's stable financial position.

Cash Flow

DKSH's operating cash flow remains strong, highlighting robust cash generation from operations. The free cash flow growth rate is slightly negative, indicating a minor decline in free cash flow. However, the operating cash flow to net income ratio is healthy, demonstrating efficient cash conversion from earnings. Overall, cash flow management appears strong.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	11.18B	11.09B	11.07B	11.32B	11.11B	10.74B
Gross Profit	837.70M	1.64B	759.70M	792.80M	770.50M	716.30M
EBITDA	440.10M	472.00M	434.90M	437.30M	460.60M	371.00M
Net Income	195.40M	214.80M	182.00M	201.10M	223.90M	157.10M
Balance Sheet
Total Assets	5.39B	5.85B	5.47B	5.88B	5.35B	5.12B
Cash, Cash Equivalents and Short-Term Investments	482.10M	609.10M	687.20M	636.40M	673.70M	680.80M
Total Debt	736.50M	839.80M	958.20M	1.01B	587.10M	565.60M
Total Liabilities	3.68B	3.97B	3.73B	4.05B	3.46B	3.32B
Stockholders Equity	1.65B	1.82B	1.69B	1.76B	1.81B	1.74B
Cash Flow
Free Cash Flow	287.50M	321.30M	340.80M	237.00M	338.20M	289.60M
Operating Cash Flow	322.50M	362.90M	393.10M	321.90M	393.20M	325.30M
Investing Cash Flow	-65.40M	-75.60M	-116.50M	-511.80M	-147.90M	-103.20M
Financing Cash Flow	-252.50M	-364.20M	-185.20M	180.70M	-239.50M	-113.40M

DKSH Holding AG Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 59.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:DKSH, the sentiment is Positive. The current price of 59 is above the 20-day moving average (MA) of 57.22, above the 50-day MA of 56.25, and above the 200-day MA of 58.98, indicating a bullish trend. The MACD of 0.73 indicates Negative momentum. The RSI at 66.07 is Neutral, neither overbought nor oversold. The STOCH value of 89.44 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CH:DKSH.

DKSH Holding AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SFSN	72 Outperform	CHF4.48B	19.01	―	1.85%	-0.71%	-6.12%
DKSH	70 Outperform	CHF3.83B	19.62	―	4.14%	2.66%	2.91%
SGSN	66 Neutral	CHF18.56B	28.91	―	3.53%	3.12%	11.70%
ADEN	65 Neutral	CHF3.97B	15.21	―	4.46%	-4.68%	-5.79%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
KNIN	63 Neutral	CHF20.94B	20.35	―	4.81%	6.54%	-10.57%
VZN	63 Neutral	CHF6.22B	27.42	22.69%	1.82%	8.15%	12.24%

DKSH Holding AG Corporate Events

DKSH Expands in Vietnam with Biomedic Acquisition

DKSH has announced the acquisition of Biomedic Science Material Joint Stock Company, a prominent distributor in Vietnam’s biotechnology and diagnostic market. This strategic move aims to enhance DKSH Technology’s presence in the life science and healthcare sectors across Vietnam, leveraging Biomedic’s established customer base and expertise. The acquisition is expected to provide growth opportunities for DKSH and deliver benefits to business partners and employees.

The most recent analyst rating on (CH:DKSH) stock is a Buy with a CHF75.00 price target. To see the full list of analyst forecasts on DKSH Holding AG stock, see the CH:DKSH Stock Forecast page.

DKSH Expands in New Zealand and Australia with Invita Acquisition

DKSH has announced the acquisition of Invita (NZ) Limited and Invita Australia Pty Limited, enhancing its food and beverage business in New Zealand and Australia. This strategic move strengthens DKSH’s position in the Asia Pacific region’s life science and industrial specialties market, particularly in the dairy and nutritional segments. Invita, with over 35 years of experience, is known for its high-quality specialty ingredients and strong market presence. The acquisition is expected to provide a robust platform for future growth, leveraging both companies’ portfolios and customer relationships, and is anticipated to close by early 2026.

The most recent analyst rating on (CH:DKSH) stock is a Buy with a CHF75.00 price target. To see the full list of analyst forecasts on DKSH Holding AG stock, see the CH:DKSH Stock Forecast page.

DKSH to Fully Acquire and Delist Malaysian Subsidiary

DKSH Holding Ltd., a prominent Market Expansion Services provider, has announced its intention to take full control of its Malaysian subsidiary, DKSH Holdings (Malaysia) Berhad, by acquiring the remaining 25.7% of shares from minority shareholders. This move is part of DKSH’s strategy to simplify its company structure and includes plans to delist the subsidiary from the Malaysian stock exchange. The proposed acquisition involves a Selective Capital Reduction mechanism, offering a 16.7% premium on the shares, and is expected to be finalized by the second or third quarter of 2026, pending necessary approvals.

The most recent analyst rating on (CH:DKSH) stock is a Buy with a CHF75.00 price target. To see the full list of analyst forecasts on DKSH Holding AG stock, see the CH:DKSH Stock Forecast page.

DKSH Appoints Patrik Grande as New Head of Healthcare Unit

DKSH has appointed Patrik Grande as the new Head of Business Unit Healthcare, succeeding Bijay Singh who will retire in March 2026. Grande, who has over 20 years of experience in the pharmaceutical industry, is expected to leverage his expertise to drive growth and strategic progress in DKSH’s Healthcare division, enhancing the company’s market position and operational capabilities.

The most recent analyst rating on (CH:DKSH) stock is a Buy with a CHF75.00 price target. To see the full list of analyst forecasts on DKSH Holding AG stock, see the CH:DKSH Stock Forecast page.